Boeing inks major deals with Vietnam’s top airlines

Mr. Dave Schulte, Boeing’s Commercial Airplanes Marketing Director for Northeast Asia, Southeast Asia, and Oceania, stated that Boeing’s partnership with Vietnam spans 30 years, starting in 1995 when Vietnam Airlines leased Boeing 767-300ER aircraft. By the early 2000s, the airline began operating its first Boeing 777.

Mr. Dave Schulte, Managing Director of Commercial Airplanes Marketing for Boeing in Northeast Asia, Southeast Asia, and Oceania.

Recently, Vietjet reaffirmed its commitment to order 200 737 MAX aircraft, while Vietnam Airlines announced a deal for 50 737 MAX aircraft. With strong growth projected over the next 20 years, Vietnam’s aviation market has become a key player in the region.

"I believe that within the next five years, Vietnam’s aviation industry will experience significant growth. Forecasts indicate that annual passenger demand growth will exceed 8%. The orders from Vietjet and Vietnam Airlines are clear evidence of this development trend," Mr. Schulte commented.

"Boeing has seven suppliers in Vietnam, which are a crucial part of our product supply chain," Mr. Schulte emphasized.

In 2016, Vietjet signed a contract to purchase 100 Boeing 737 MAX 200 aircraft, valued at $11.3 billion. In 2019, the airline added an order for another 100 Boeing 737 MAX aircraft, bringing the total order to 200 aircraft, with a total value of approximately $25 billion.

In September 2023, during former U.S. President Joe Biden’s visit, Vietjet and Boeing reaffirmed their contract and agreed on a delivery plan starting in 2024, including the 737 MAX 8 and MAX 10 variants.

Also in September 2023, Vietnam Airlines and Boeing signed a memorandum of understanding (MoU) for the proposed sale of 50 narrow-body Boeing 737 MAX aircraft, valued at $10 billion.

Mr. Schulte did not provide updates on the progress of these contracts or MoUs but noted that Boeing maintains close collaboration with Vietnamese airlines and partners to develop long-term fleet plans.

In early April, during a U.S. business trip as the Special Envoy of General Secretary To Lam to discuss bilateral economic and trade issues following the U.S. imposition of countervailing tariffs, Deputy Prime Minister Ho Duc Phoc witnessed Vietjet and AV AirFinance sign an MoU for a $300 million partnership to develop Vietjet’s fleet. 

Vietnam Airlines also signed an MoU with CitiBank for a financing commitment of $560 million or more for strategic investment projects. These moves are seen as steps toward balancing Vietnam-U.S. trade.

Vietnam Airlines is also working to finalize investment procedures for the purchase of 50 narrow-body aircrafts, select suppliers, negotiate, and sign contracts in the first half of 2025.

On April 23, Vietnam Airlines and Vietcombank signed an MoU to arrange financing for the 50 narrow-body aircraft project. Vietcombank will provide advance payments and long-term loans for Vietnam Airlines from 2026 to 2032.